Xiaomi Invests in Xpeng, a Chinese EV Startup.

Xpeng wants to gain a stable place in China´s fast-growing electric vehicle market, and Xiaomi became a strategic investor. The startup just raised $400 million in investments.

Chinese new energy market had a boom because of government support, including subsidies for companies that make the New Energy Vehicles, attracting a lot of capital to the sector. Still, now the same government is cutting back those subsidies. That´s why the fellow countryman company Evergrande is backing up on its investments.

The $400 million investments will be mostly used for research and development of the driving software, trying to reach the Tesla´s AutoPilot. It also includes the mass production of its G3 sport-utility vehicle model and P7 sedan, which will be launched in spring 2020.


Leave a Reply